Americans have been up and down on the price and availability of gasoline since the mid-1800s. The price of a barrel of oil, from time-to-time, spikes and then slowly goes down (at a faster rate than inflation) over time until it becomes too low and the oil producers spike it back up. When the price is low and availability high, people buy bigger cars and trucks in the U.S. When the price is higher, they begin to buy more fuel-efficient vehicles. If the price of gasoline falls back to the $2.50 gallon range (which it will), most consumers will again demand big fuel-inefficient vehicles. That's a huge problem for automotive manufacturers who haven't figured out how to forecast fuel price cycles.
What's the solution?
Take a look at European transportation patterns over the years. Gasoline there has been highly taxed; forcing people to take mass rapid transit to their weekday workplaces while saving their private vehicle usage for weekend travel.
Mr. Dingell, the 81-year-old Dean of the House, argues for new energy taxes because higher energy prices are one of the few things that cause people to cut back consumption. Taxes give policy makers more options in influencing behavior. He uses the example of a gas tax. "Why would I do that? First of all, it means I can reduce the use of gasoline, and I can make it easier for CAFE (Corporate Average Fuel Efficiency) to work." He also explains that it allows policy makers to "differentiate between fuels." By taxing gasoline but not diesel, for instance, he hopes to get more people into diesel cars. That would further reduce emissions, he argues, since diesel gets "about a 20% or 25% fuel benefit."
High prices do NOT curb consumption enough. It will bankrupt the economy first, and line the pockets of terrorist freindly nations in the meantime. We're above $4/gal and consumption is finally starting to go down ... SLIGHTLY. If any of you don't know the meaning of the word "slightly" I encourage you to look it up.
Responsible policy is the answer ... and even with the current situation in place the worst policies are being made with money going to the least promising technologies and powerful cororate coffers ending up with all the cash. Everyone focuses on fuel efficiency to save the environment, yet autos only contribute 35% of man made greenhouse gases. The bulk of man-made greenhouse gases comes from burning coal.
I disagree. Yes the rise in the price of oil could be good for the US if the eventual outcome is more environmentally friendly cars, less car usage in general, and a focus on developing and implementing more sustainable energy sources. But these are things that could happen without the price of oil skyrocketing if consumers and companies were willing to change their mindset.
On the other hand, the rising price of oil is bad for the US for a number of reasons that cannot really be controlled: it lowers savings, undermines an already weak dollar, and worsens inflation as well as the trade deficit (with rising prices of imported oil.) As the Washington Post points out, it's also changing the balance of world power in favor of places like Saudi Arabia, Russia and Iran – not the greatest thing for the US.
People are still driving, the level of lethargy among Americans whether oil prices are up or down is continually and startlingly high. I think if the price of beer and alcohol increased there might be more of an uprising. Americans are taking the punches, but not fighting back hard enough. I think the best thing to happen to this country will be a new leader that will show America what it's been missing out on for the past 8 years. Let's snap out of it and DO SOMETHING people.
It will definitely help americans in the long run. If the goverment acts and creates more massive and efficient transportation (trains, subways) in EVERY IMPORTANT city people will choose THAT instead of wasting hundreds of dead hours a year driving and hurting the enviroment. Also they will read more while traveling to work everyday, walk more to the next subway station and from there to their offices.
Take a look at European transportation patterns over the years. Gasoline there has been highly taxed; forcing people to take mass rapid transit to their weekday workplaces while saving their private vehicle usage for weekend travel.
Mr. Dingell, the 81-year-old Dean of the House, argues for new energy taxes because higher energy prices are one of the few things that cause people to cut back consumption. Taxes give policy makers more options in influencing behavior. He uses the example of a gas tax. "Why would I do that? First of all, it means I can reduce the use of gasoline, and I can make it easier for CAFE (Corporate Average Fuel Efficiency) to work." He also explains that it allows policy makers to "differentiate between fuels." By taxing gasoline but not diesel, for instance, he hopes to get more people into diesel cars. That would further reduce emissions, he argues, since diesel gets "about a 20% or 25% fuel benefit."
Americans behave like spoiled-rotten children and they always have. They saw this land as uninhabited and limitless, despite ample evidence to the contrary, and have acted as if fantasy and fiction were fact ever since.
High oil prices will force them to re-evaluate and enter a more realistic alignment with the rest of the world, I believe.
Definitely, it should contribute to the rise of currently-samll-and-struggling companies such as mine, which make passive solar heating and cooling units and find new uses for previously wasted materials - to the considerable dismay of the bigots here, who definitely want to keep their stranglehold on the economy, the populace, and their myth-conception that they are 'in charge'.. even if they kill off that populace and economy while doing it.
My hope is that the end result of all this will be vastly improved public transportation and work vehicles that have good power along with really good mileage. Who knows? Maybe we'll even be able to find a parking place for our company trucks when we have to get supplies..
Share your ideas
Comments | 7 Total
May 15, 2008 at 12:48pm
John AgnoAmericans have been up and down on the price and availability of gasoline since the mid-1800s. The price of a barrel of oil, from time-to-time, spikes and then slowly goes down (at a faster rate than inflation) over time until it becomes too low and the oil producers spike it back up. When the price is low and availability high, people buy bigger cars and trucks in the U.S. When the price is higher, they begin to buy more fuel-efficient vehicles. If the price of gasoline falls back to the $2.50 gallon range (which it will), most consumers will again demand big fuel-inefficient vehicles. That's a huge problem for automotive manufacturers who haven't figured out how to forecast fuel price cycles.
What's the solution?
Take a look at European transportation patterns over the years. Gasoline there has been highly taxed; forcing people to take mass rapid transit to their weekday workplaces while saving their private vehicle usage for weekend travel.
Mr. Dingell, the 81-year-old Dean of the House, argues for new energy taxes because higher energy prices are one of the few things that cause people to cut back consumption. Taxes give policy makers more options in influencing behavior. He uses the example of a gas tax. "Why would I do that? First of all, it means I can reduce the use of gasoline, and I can make it easier for CAFE (Corporate Average Fuel Efficiency) to work." He also explains that it allows policy makers to "differentiate between fuels." By taxing gasoline but not diesel, for instance, he hopes to get more people into diesel cars. That would further reduce emissions, he argues, since diesel gets "about a 20% or 25% fuel benefit."
May 15, 2008 at 1:42pm
David AustinHigh prices do NOT curb consumption enough. It will bankrupt the economy first, and line the pockets of terrorist freindly nations in the meantime. We're above $4/gal and consumption is finally starting to go down ... SLIGHTLY. If any of you don't know the meaning of the word "slightly" I encourage you to look it up.
Responsible policy is the answer ... and even with the current situation in place the worst policies are being made with money going to the least promising technologies and powerful cororate coffers ending up with all the cash. Everyone focuses on fuel efficiency to save the environment, yet autos only contribute 35% of man made greenhouse gases. The bulk of man-made greenhouse gases comes from burning coal.
May 15, 2008 at 4:24pm
Saabira ChaudhuriI disagree. Yes the rise in the price of oil could be good for the US if the eventual outcome is more environmentally friendly cars, less car usage in general, and a focus on developing and implementing more sustainable energy sources. But these are things that could happen without the price of oil skyrocketing if consumers and companies were willing to change their mindset.
On the other hand, the rising price of oil is bad for the US for a number of reasons that cannot really be controlled: it lowers savings, undermines an already weak dollar, and worsens inflation as well as the trade deficit (with rising prices of imported oil.) As the Washington Post points out, it's also changing the balance of world power in favor of places like Saudi Arabia, Russia and Iran – not the greatest thing for the US.
May 16, 2008 at 1:11pm
Erika SchneiderPeople are still driving, the level of lethargy among Americans whether oil prices are up or down is continually and startlingly high. I think if the price of beer and alcohol increased there might be more of an uprising. Americans are taking the punches, but not fighting back hard enough. I think the best thing to happen to this country will be a new leader that will show America what it's been missing out on for the past 8 years. Let's snap out of it and DO SOMETHING people.
Vote those idiots out of office.
Drive less. Bike, subway or bus more.
sign the petition
May 16, 2008 at 2:36pm
Victor ChavezIt will definitely help americans in the long run. If the goverment acts and creates more massive and efficient transportation (trains, subways) in EVERY IMPORTANT city people will choose THAT instead of wasting hundreds of dead hours a year driving and hurting the enviroment. Also they will read more while traveling to work everyday, walk more to the next subway station and from there to their offices.
May 17, 2008 at 12:26am
karamala rameshTake a look at European transportation patterns over the years. Gasoline there has been highly taxed; forcing people to take mass rapid transit to their weekday workplaces while saving their private vehicle usage for weekend travel.
Mr. Dingell, the 81-year-old Dean of the House, argues for new energy taxes because higher energy prices are one of the few things that cause people to cut back consumption. Taxes give policy makers more options in influencing behavior. He uses the example of a gas tax. "Why would I do that? First of all, it means I can reduce the use of gasoline, and I can make it easier for CAFE (Corporate Average Fuel Efficiency) to work." He also explains that it allows policy makers to "differentiate between fuels." By taxing gasoline but not diesel, for instance, he hopes to get more people into diesel cars. That would further reduce emissions, he argues, since diesel gets "about a 20% or 25% fuel benefit."
May 17, 2008 at 12:54pm
Carel Two-EagleAmericans behave like spoiled-rotten children and they always have. They saw this land as uninhabited and limitless, despite ample evidence to the contrary, and have acted as if fantasy and fiction were fact ever since.
High oil prices will force them to re-evaluate and enter a more realistic alignment with the rest of the world, I believe.
Definitely, it should contribute to the rise of currently-samll-and-struggling companies such as mine, which make passive solar heating and cooling units and find new uses for previously wasted materials - to the considerable dismay of the bigots here, who definitely want to keep their stranglehold on the economy, the populace, and their myth-conception that they are 'in charge'.. even if they kill off that populace and economy while doing it.
My hope is that the end result of all this will be vastly improved public transportation and work vehicles that have good power along with really good mileage. Who knows? Maybe we'll even be able to find a parking place for our company trucks when we have to get supplies..
Share your ideas